What happens if I don’t take any action with my current account?
It is important to act now and change your current account provider. If you don’t take any action, KBC or Ulster Bank will automatically close your account. The bank will contact you with the date when your account will be closed. When your account is closed you will no longer be able to use your bank account. If you have money in your account, a cheque for that amount will be sent to the address on your bank account.
Do I need to move my mortgage?
It is expected that your mortgage will automatically move to another bank or financial provider when Ulster Bank and KBC leave the Irish market. If you do not want to stay with your new mortgage provider then you may be able to switch to another provider. You can use our Mortgage Money Tool
to compare mortgages. For more information see our mortgage switching
What happens if someone makes a payment to my old account after I have switched?
A payment, for example, your salary, to a closed account will be rejected and returned to the sender. It can take 5 to 10 working days for the payment to go back into the sender’s bank account.
One of my direct debits was not moved when I switched, what happens now?
If you do not have enough money in your account when you are due to make a payment by direct debit, then the payment cannot go through. If this happens, you may be charged a fee by the direct debit company, for example, your utility provider, health insurance provider, etc. Your current account provider may also charge a separate fee when a direct debit payment does not go through. If this happens you can contact the direct debit company and your current account provider to explain why the payment was missed and request a refund.
If your mortgage or loan direct debits are unpaid this is generally recorded as a missed payment on your credit history. This could affect you getting a loan in the future. If this happens due to you switching your current account then you should contact your mortgage or loan provider and ask them to amend the record.
If you do not pay your bills for products such as car insurance and health insurance then you could lose insurance cover for a period of time. If you miss several payments then your insurance policy could be cancelled. It is important to contact your insurance company as soon as you become aware that you have missed a payment.
Can I make a complaint about the switching process?
When you are switching your current account both your old and new providers are required to support you through the process. If either your old or new provider are not providing the support you require then you should make your complaint directly to your provider first. Providers must have a complaints process in place. If you are not satisfied with the response, then you can refer your complaint to the Financial Services and Pensions Ombudsman (FSPO)
. If your new provider is a FinTech they may be based in another EU country and the FSPO may not be able to help with your complaint. In this case, you should contact the relevant dispute resolution body in the provider member state
to see if they will take on your complaint.
What should I do if I can’t clear the balance from my overdraft?
Before you close your current account, you will have to pay off your overdraft first. If you think you will not be able to pay off your current account overdraft, you should contact your closing bank to seek support. Both Ulster Bank
have dedicated teams in place to help you find a solution to clearing the outstanding balance. You can also contact the Money Advice and Budgeting Services (MABS)
who can give you with independent support and advice.
I am considering opening an overdraft on my new current account, what should I do?
Overdrafts are only offered by certain providers, so check that your new provider offers this service. As an overdraft is a type of loan, you will need to complete an application form with your new provider. Your new provider will also carry out a credit check
as part of the application process.
It is important to remember that an overdraft is a loan and there can be many different fees and charges such as a setup fee, an annual fee and interest on the amount of money you owe. It is a good idea not to use an overdraft for daily expenses.
What will happen to my investment account when my bank closes?
If you have an investment product with either KBC or Ulster Bank they will write to you to explain your options. Ulster Bank investment products will be unaffected and you will stay with your current investment company. However, all KBC investment products will be closed and the value of your investment repaid to you. It may be a good time to consider getting independent financial advice about what to do with the proceeds of your investment, from a qualified financial adviser.
Do I need any extra documents when setting up a new basic bank account?
If you have a basic bank account with either KBC or Ulster Bank be sure to request a letter of closure confirming that you are in the process of closing your account. This is an important letter and you should bring it with you when opening your new basic bank account in addition, to the other documentation required
If I apply for a new credit card with another provider will I pay stamp duty twice?
There is an annual stamp duty of €30 on all credit card accounts. The €30 applies to the account and not to the card, so you will be charged €30 no matter how many cards you have on your account. Stamp duty is taken from your account, by your credit card provider, on 1 April every year for the previous year. For example, stamp duty taken from your credit card account on 1 April 2022 was for the year 2021.
If you close your account any time after 1 April 2022, you will be charged €30 stamp duty for 2022. You will get a letter of closure from Ulster Bank or KBC to confirm you have made this payment. You should give this letter to your new credit card provider so that you will not be charged stamp duty again for 2022. If you don’t open another credit card account you will still have to pay the full €30 stamp duty for 2022. You will not be able to close your credit card account until the stamp duty for 2022 is paid.
A friend or relative has diminished capacity, how can I help them switch?
You may have a relative or friend who now needs to set up a new bank account but may not be physically or mentally capable of completing this on their own behalf. If the person is a Ward of Court
or if you have Power of Attorney
you will be able to act on their behalf. However, if no formal arrangement is set up it will be more complicated but it is possible for a new bank account to be opened and the following process will help you.
There are two steps in this process. The first one is to set up a new current account for your relative or friend, and the second is engaging with their existing current account provider to make sure everything is looked after during the switching process.
Firstly, it is very important that a new current account is set up with a new provider on your relative or friend’s behalf, particularly if their current account is used for important transactions such as a pension and nursing home payments.
If there is no formal arrangement in place, the new current account provider will require additional information and paperwork to ensure that you are acting on behalf of your relative or friend and that their finances are appropriately protected. For example, the new account would need to be solely in your relatives or friend’s name.
To open a new current account, we suggest that you contact the new provider’s vulnerable customer helpline, if they have one, or where possible call into a branch. They will be able to support you through this process. General information on the documents you’ll need to set up a new current account are available on our website.
It is very likely you will need to provide additional documents. You may need to contact your relatives or friend’s doctor and ask them to provide a medical certificate confirming their condition. In addition, if there is a Carer Representative Order in place (this is required if your relative or friend is availing of the Government’s Fair Deal scheme), you should ask the nursing home for a printed copy of it.
Secondly, you can also visit your relative or friend’s local branch or call their vulnerable customer helpline, if they have one, for advice on switching ongoing activity to the new account. As Ulster Bank and KBC are regulated as a financial entity by the Central Bank of Ireland, they must comply with the Consumer Protection Code which includes acting in their customers’ best interests, and supporting consumers in switching to new accounts.